Home

Contact Us

Author Guidelines

Terms of Service

New Member?

Author Login

	E-mail this article
	Report this article
	Publish this article

The Death Of MLM: Why Traditional Multi Level Marketing Is On The Way Out

LM, or network marketing, has been around for over 50 years. When it was first introduced, it was an exciting new way to distribute products and allowed for anyone to become a business owner without all the traditional headaches of trying to start your own business.

Many people became millionaires from network marketing, and before you knew it, mlm companies were popping up all over the place. But the problem was, the only people that were really making a lot of money in these home based business opportunities were the ones who came on in the beginning. So, if you didn't start at the ground floor, the road ahead of you became extremely difficult.

Why? Because of market saturation. Does that mean someone couldn't become wealthy if they joined later on? No, but it became much harder to do so.

So, enter in the age of the internet. MLM and home based business opportunities found a new home. This seemed great at first, but the internet opened up a whole new set of problems for network marketing. People could buy similar products for much cheaper then the inflated prices mlm companies were selling them for.

People had access to everything from around the world at their fingertips. So, unless you had real wholesale prices on your mlm products, your job became much harder, if not impossible, to retail products. Your only way now to make money was to sell just the opportunity.

And as you can see by looking around you, 99% of network marketers are doing just that today. It almost seems like retailing products has become non existent.

So, this brings us to why I believe traditional multi level marketing is dying. Talking to friends and family about products or opportunities has always been tough, but the abundance of similar products online has made it even tougher. Plus, working your warm market is not a duplicatable system for the majority of people.

But this is what 99% of the mlm companies out there are teaching: talk to your warm market. But no one can really sustain themselves long term by focusing on their warm market. So, people then end up spending hundreds of dollars on biz opp leads, which most of the time end up a bust (because those people usually have no money).

So as you can see, this is why 98% of the people never succeed in network marketing.

But there is a new concept that looks very promising. It is called "direct response network marketing." This model combines television infomercials, the internet and network marketing into one business model. One particular company is doing this right now and by buying up television media slots, their distributors can take live phone calls from the infomercial of people wanting to buy their product or join their opportunity. This concept has leveled the playing field once again for everybody.

No more having to work your warm market and hope your downline does the same thing. All the advertising is created and done by the company so everyone can participate and make money.
About the Author

J. Swanson is the author of the E-book, "The Secrets To Succeeding In Network Marketing." For more information on "direct response network marketing," please visit www.therealonlinesystem.com.